VinFast plans new models and hopes to break even in 2024
Vietnamese manufacturer VinFast is ramping up exports and will likely sell 40,000 to 50,000 EVs this year – nearly seven times as much as in 2022. And the company is looking to launch two new models.
First about the cars: Unfortunately, no technical details have been published yet, but the carmaker says it will launch an electric pickup and an electric “mini car”. The latter will cost between $10,000 and $12,000.
There are more details about VinFast’s financial ambitions. “If things go as planned”, Vingroup chairman Pham Nhat Vuong believes that the group’s automotive unit could break even as soon as 2024. VinFast sold about 7,400 last year and aims to sell as many as 50,000 units in 2023. The increase is driven by exports to the US and first deliveries to Europe. In 2022, the company’s EVs were only available in Vietnam.
And VinFast is looking to grow even more, especially abroad. The company recently secured $2.5 billion in fresh capital to fuel its global expansion. Most of the cash came from VinFast’s founder Vuong.
And in the second half of this year, VinFast is headed to Wall Street. It teamed up with special-purchase acquisition company (SPAC) Black Spade Acquisition for the IPO in the US and is seeking a valuation of at least $23 billion through its New York Stock Exchange listing.
According to a written presentation made available to Reuters, Vingroupsays the IPO “opens up potential fundraising opportunities for Vingroup in general and VinFast in particular from the global markets”. It did not provide further details.
VinFast currently offers four EV models for its customers in Vietnam: VF e34, VF 8, VF 9 and VF 5. The VF 8 is also available in the US. In March, the carmaker started deliveries for its VF 8 City Edition all-electric SUV in California. Plans for a US factory have currently been put on ice.
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